CASCADE TOWNSHIP - Zondervan CEO Scott Macdonald is stepping down as the Grand Rapids publishing house combines with newly acquired Thomas Nelson in a new Christian publishing division, Harper Collins announced today.

HarperCollins closed its purchase of Christian publisher Thomas Nelson earlier this month. The sale was first announced in October.

The new division will be headed by Thomas Nelson CEO Mark Schoenwald, who will oversee the Tennessee-based Thomas Nelson and Zondervan, splitting his time between two facilities.

Macdonald will stay on in a temporary advisory capacity. He has helmed the company since May 2011 when he replaced ousted Maureen “Moe” Girkins, Zondervan's first woman CEO.

Plans announced last year to relocate Zondervan to Grand Rapids have been postponed during the transition. Last year, the company announced it would move from its Cascade Township headquarters when after closing warehouse operations this summer.

A lease for the facility, at 5300 Patterson Ave SE, has been extended another 16 months, said Tara Powers, a Zondervan spokeswoman.

Once competitors, now Thomas Nelson and Zondervan will continue to publish their respective brands and maintain their unique editorial focus. Zondervan's 234 employees is less than half the size of Thomas Nelson's nearly 500-person workforce.

“They will jointly make up the Christian Publishing Division of HarperCollins Publishers and remain wholly-owned subsidiaries of HarperCollins,” said Powers. “Like other imprints of HarperCollins, there will be internal competition for authors and retail support, but the two companies will seek to work together where opportunities for collaboration make sense.”

Powers added that HarperCollins has kicked off a comprehensive integration project with the goal of evaluating and determining the appropriate organizational structure by October 1.

Schoenwald will report to Brian Murray, CEO of HarperCollins Publishers Worldwide, and will serve on the HarperCollins executive committee. HarperCollins is a subsidiary of Rupert Murdoch’s News Corporation.

Courtesy photoThomas Nelson CEO Mark Schoenward

“Mark is an experienced leader in the Christian publishing market, and we are thrilled to have him at the helm of our newly expanded Christian division,” Murray said.

He added the new division adds further scale and balance to HarperCollins overall portfolio.

Murray praised Macdonald for his 14-month tenure as Zondervan CEO.

"He has achieved everything I asked him to achieve at Zondervan during a most challenging time in the company’s history," Murray said.

Schoenwald has been with Thomas Nelson since 2004 when he joined as the chief sales office. In 2009, he was promoted to company president, and in 2011 to CEO.

Under Schoenwald’s leadership, Thomas Nelson has seen both double digit revenue and operating income growth, as well as had several titles make the “New York Times” Bestsellers list, including “Heaven is for Real” and “Jesus Calling," the company said.

Before joining Thomas Nelson, Schoenwald as president of several prestigious home décor, garden and gift companies. He began his career at Lenox Brands, serving in various sales, marketing and operations positions.

“I am fortunate to move into this role with the benefit of a strong foundation to build on, coupled with many talented people on both teams,” said Schoenwald. “I anticipate a smooth transition as we begin to work together, optimizing all strengths to create an even more successful publishing program for these two distinct brands which, combined, have 300 years of publishing experience and history.”